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National Fuel Gas Q1 Earnings Beat Estimates, Gas Production Up

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Key Takeaways

  • NFG reported Q1 adjusted EPS of $2.06, beating estimates and rising 24.1% from the prior-year quarter.
  • NFG saw revenue gains across utility, Integrated upstream and Gathering and Other, and pipeline segments.
  • NFG boosted operating income as expenses fell and Seneca gas production rose 12% year over year.

National Fuel Gas Company (NFG - Free Report) reported first-quarter fiscal 2026 adjusted operating earnings of $2.06 per share, which beat the Zacks Consensus Estimate of $1.91 by 7.85%. The bottom line also increased 24.1% from the year-ago quarter’s reported figure of $1.66.

GAAP earnings for the quarter were $1.98 per share, up 304.1% from 49 cents in the year-ago quarter.

NFG’s Total Revenues

NFG reported sales of $651.5 million, which beat the Zacks Consensus Estimate of $647 million by 0.7%. The top line also increased 18.6% from the prior-year recorded figure of $549.5 million.

The year-over-year increase in revenues was due to strong contributions from all segments.

National Fuel Gas Company Price, Consensus and EPS Surprise

National Fuel Gas Company Price, Consensus and EPS Surprise

National Fuel Gas Company price-consensus-eps-surprise-chart | National Fuel Gas Company Quote

NFG’s Segmental Revenues

Utility: Revenues totaled $259.05 million, up 13.4% from $228.4 million in the year-ago quarter.

Integrated upstream and Gathering and Other: Revenues totaled $323.2 million, up 28.1% from $252.4 million in the year-ago quarter.

Pipeline and Storage: Revenues amounted to $69.2 million, reflecting a 0.6% increase from $68.8 million recorded in the year-ago quarter.

Highlights of NFG’s Q1 Release

Total operating expenses were $375.4 million, down 18.9% from $463.3 million in the year-ago quarter.

Operating income totaled $276.1 million, up 220.3% from $86.2 million in the year-ago quarter.
 
Interest expense on long-term debt totaled $33.5 million compared with $33.4 million in the year-ago quarter.

During the fiscal first quarter, Seneca produced 109 billion cubic feet (Bcf) of natural gas, reflecting an increase of 11 Bcf, or 12%, from the prior-year level. The year-over-year increase in production volumes was due to new Utica pads turned in line in Tioga County.

NFG’s Q1 Financial Highlights

As of Dec. 31, 2025, National Fuel Gas had cash and temporary cash investments of $271.4 million compared with $43.2 million as of Sept. 30, 2025.

Net cash provided by operating activities for first-quarter fiscal 2026 totaled $274.9 million compared with $220.1 million in the previous year quarter.

NFG’s Guidance

National Fuel Gas reiterated guidance for adjusted earnings per share for fiscal 2026 between $7.60 and $8.10.  The acquisition of CenterPoint Energy’s Ohio natural gas utility business is expected to close in fourth-quarter fiscal 2026 and is not anticipated to affect fiscal 2026 guidance.

The company expects capital expenditure for fiscal 2026 to be in the $0.96-$1.07 billion range.

Production for fiscal 2026 is expected to be in the range of 440-455 Bcf.

NFG’s Zacks Rank

National Fuel Gas currently carries a Zacks Rank #4 (Sell).
 
You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

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